My husband and I purchased a small timeshare in 10/2001 for $4000.00 and ran into some major financial problems after that. We were unable to pay and tried to sell it back as we were told we could do. They told us we could not sell it back at that time. It was turned over to a collection agency in 4/2002. I spoke with them one time and they wanted $500.00 a month. I told them I could not pay that and they have not called since. My credit report states as of 2/2008 the balance is now $10,000.00. I live in NC and was wondering about the statute of limitations on collecting and judgment in a case like this. Everything I read says 3 years but it has been 6 years now.

Hello bryant:

Beware of the particular language used. The statute should run from THE TIME OF LAST ACTIVITY.

THAT time should be the last time you made a payment... However, the collector scumbags think it's the last time they billed you.

If they are about to sue, and it doesn't look like they are, you can bring up the SOL as a defense. If all they'r doing is hasseling you, tell them to STOP calling (do this in writing), and to sue you.

Then defend yourself in court.

excon

You need to read your contract very carefully. Generally, a time share cannot sue you for payment. Since the contract is secured by the share, what they can do is is take back the share and resell it. The contract you signed should spell out what happens in case of default. Obviously you would lose anything you have already paid, but I don't believe you would be liable for any additional payments. At least not after the time you were declared in default.